What's Moving Markets Back Up

The markets traded in a relatively tight range this morning. However, as the markets drifted lower midday, selling dramatically picked up when the S&P 500 fell below its intraday low of 839.80 that it hit back on October 10.

Once that technical level was crossed, the S&P 500 dropped another 20 points, to a new 5.5-year low. Weakness was broad-based, but financials were notable underperformers, with many large cap banks posting double-digit declines.

Just an hour later, the S&P 500 retraced its losses and found itself once again in positive territory, while showing signs of some buying interest. Volume picked up in the S&P 500 Depository Receipts (SPY) and was particularly strong as the market moved up. In fact, as of early this afternoon, 450 million shares of SPYDERS have already changed hands; well above the average daily volume of 380 million shares. Helping move the markets back up are notable rebounds in energy, industrials, and financials.